How to Get More Returns on Your Investment?
How to Get More Returns On Your Investment?
How To Invest In Mutual Fund?
First, let us understand what exactly mutual funds are. These are pools of funds which are collected from investors and managed by an asset management company on their behalf for investing in different instruments such as stocks, bonds, Govt. securities and other asset classes with a hope of providing better returns to investors by diversifying their risk by investing in different asset classes.
Who can invest in Mutual Funds?
Following are the people which can invest in mutual funds:-
People living in India that is Indian residents.
People not living in India that is Non-resident Indians (NRI)
All people who are of Indian Origin (POI)
ALL Indian public and private sector companies.
For minors, their parents or guardians can invest on their behalf.
Hindu Undivided Family(HUF)
Sole Proprietorship Firms that are firms with a single owner.
Cooperative societies
Partnerships firms
Charitable or Religious Trusts
Trustee and Asset Management Company
Registered Societies
Air force, navy and army Institutions
Scientific and/or industrial research organizations
Documents Required
First of all, every person needs to fill a Know your customer application form (KYC). Along with that following documents are required by different parties involved:-
1) For IndividualProof of Identity
The first and foremost thing for an individual investor is the proof of identity. Following things can be included in it:
Photo PAN Card
In case of Non-Photo PAN Card in addition to copy of PAN Card, any one of the following can be included
Passport copy/Driving License/ Voter ID /Bank Photo Pass Book.
Proof of Address (any one of the following):
Latest Telephone Bill, which could be Landline/Mobile and it, should not be more than 3 months prior to the date of application.
Latest Electricity Bill (not more than 3 months prior to the date of application).
Passport copy
Bank Account Statement (not more than 3 months prior to the date of application).
Latest Demat Account statement (not more than 3 months prior to the date of application).
Voter ID.
Driving License.
Ration Card.
Rent Agreement.
2) For Hindu Undivided Family (HUF)
Units can only be held in the name of Karta on behalf of the HUF
For proof of identity Copy of pan Card is a must.
Proof of address (HUF)
Latest Bank Passbook (not more than 3 months prior to the date of application).
Bank account statement (not more than 3 months prior to the date of application)…
3) Non-individuals (PAN Mandatory) Companies / Bodies Corporate (Certified copy of the following):
Certificate of incorporation.
Memorandum & Articles of Association that is MOA and AOA.
Approval of the Board of Directors (BOD) authorizing investment in mutual funds.
Power of Attorney(POA) granted to its managers, officers or employees to transact business on its behalf
4) Partnership firms (Certified copy of the following):
Certificates of Registration, in case of registered Partnership Firms.
Any other officially valid documents in respect of holding a power of attorney to transact.
5) Trusts, foundations, NGO’s Charitable Bodies, Clubs/Mutual Fund Schemes (Certified copy of the following):
Certificate of Registration, in case of registered Trusts.
Any other valid documents in respect of holding a power of attorney to transact
Offer Document of the Mutual Fund Scheme.
Certificate of Registration, in case of registered Trusts.
Any other valid documents in respect of holding a power of attorney to transact.
Offer Document of the Mutual Fund Scheme
How to Get More Returns On Your Investment?
